Serbia steps up partnership with FAO and EBRD for stronger agriculture, January 2018Serbia steps up partnership with FAO and EBRD for stronger agriculture, January 2018

26 January, 2018

Promoting Serbian agricultural exports, modernizing the
country’s water management systems and developing food quality labelling and geographical
indication schemes were at the heart of a three-way meeting today in Serbia.

At the meeting, Serbia’s Ministry of Agriculture, Forestry
and Water Management, the Food and Agriculture Organization of the United
Nations (FAO) and the European Bank for Reconstruction and Development (EBRD) agreed
to sign a Memorandum of Understanding (MoU) pointing to the continued commitment
of the three partners to strengthening Serbia’s agrifood sector.

Serbia’s Minister of Agriculture, Branislav Nedimovic, commended
the fruitful partnership with FAO and the EBRD in recent years, noting that the
new agreement recognizes what he called “mutual goodwill and interest in continuing
to leverage our respective strengths – to build a more efficient, sustainable, inclusive
and competitive agrifood system in Serbia.”

Promoting
Serbian exports

Serbia’s grain and oilseed sector is vital to the country’s
economy, employing over 180,000 people and accounting for a considerable share
of export income. In fact, the country has become one of the largest exporters
of maize in Europe.

Under the new agreement, FAO and the EBRD will continue to
support efforts to accelerate Serbia’s export growth. In part, this will
involve strengthening the capacity of the Serbian Grain Association to analyse markets
and resolve production and trade bottlenecks – from infrastructure to
logistics.

“There is great potential for Serbian producers and traders
to access new markets, including those in the Near East, Middle East and Asia,”
said Miljan Zdrale, the EBRD’s Regional Head of Agribusiness for central and south-eastern
Europe. “FAO and the EBRD will continue to provide technical assistance for
compliance with trade requirements and promote public-private dialogue among
the country’s grain industry players, as well as regular information sharing
and participation in international trade events.”

Linking quality
to origin

FAO and the EBRD are also looking to expand their export
development activities to other agricultural products, such as the country’s
famous Arilje raspberries. Thanks to an FAO-EBRD project, the first 1 000
tonnes of Arilje raspberries achieved geographical indication (GI)
certification this year.

The Oblačinka from Oblačina – a sour cherry from southern
Serbia – has already received GI status. This entitles the cherries to be
marketed under a public label that recognizes the link between a high-quality
product and its place of origin.

FAO, the EBRD and Serbian authorities have supported the
creation of associations tasked with protecting and marketing the certified GIs,
ensuring internal controls and traceability, and strengthening producers’ links
to suppliers and retailers.

“A successful GI can open up new market opportunities, both
domestically and abroad, raise rural incomes and ignite the local economy,” said
FAO senior economist Emmanuel Hidier.

He added that under the MoU, FAO and the EBRD will build on
this work as they assist Serbia in aligning its food quality policy with the
European Union’s Acquis – the common rights and obligations that are binding
for all EU members.

Strengthening
the country’s water management systems

The two organizations have also agreed to work with the
Serbian Government to draw up an investment project on irrigation and water
management. Serbia’s irrigation systems require modernization if the country is
to exploit its full agricultural potential. Currently, less than 100,000
hectares – or 4 percent of the country’s arable land – is irrigated.

In recent years, Serbia has been hit hard by both drought
and floods. With climate change challenges ahead, investment in water
management is vital.